LOS ANGELES--(BUSINESS WIRE)-- Glancy Binkow & Goldberg LLP announces that a class action lawsuit has been filed in the United States District Court for the Eastern District of Missouri on behalf of a class (the “Class”) consisting of all purchasers of the securities of Patriot Coal Corporation (“Patriot Coal” or the “Company”) (OTC Markets:PCXCQ) between October 21, 2010 and July 6, 2012, inclusive (the “Class Period”), seeking to pursue remedies under the Securities Exchange Act of 1934.
Patriot Coal Corporation engages in the mining, production and sale of thermal coal, primarily to electricity generators in the eastern United States. The Complaint alleges that during the Class Period the Company and certain of its executive officers misrepresented and/or failed to disclose that: (a) the Company's internal controls over financial reporting were materially inadequate; (b) defendants improperly accounted for selenium treatment facility liabilities at the Company’s mines; (c) the Company’s reported financial results were overstated and were not presented in conformity with GAAP; (d) the Company's business health was weakening; and (e) as a result of the forgoing, the Company was headed for bankruptcy and would not survive as a going concern.
On July 9, 2012, Patriot Coal announced that the Company and substantially all of its wholly owned subsidiaries have filed voluntary petitions for reorganization under Chapter 11 of the Bankruptcy Code. Following this news, the price of Patriot Coal shares dropped 72% -- from a closing pricing of $2.19 per share on July 6, 2012, to a closing price of $0.61 per share on July 9, 2012.
No class has yet been certified in the above action. Until a class is certified, you are not represented by counsel unless you retain one. If you are a member of the above-described Class, you have certain rights, and have until November 21, 2012 to move for lead plaintiff status. To be a member of the class you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent class member. To learn more, or if you have any questions concerning this Notice or your rights or interests with respect to these matters, please contact Michael Goldberg, Esquire, of Glancy Binkow & Goldberg LLP, 1925 Century Park East, Suite 2100, Los Angeles, California 90067, by telephone at (310) 201-9150, Toll Free at (888) 773-9224, by e-mail to firstname.lastname@example.org or visit our website at http://www.glancylaw.com.
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Source: Glancy Binkow & Goldberg LLP